FSB warns of financial stability challenges in repo markets FSB warns of financial stability challenges in repo markets

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FSB warns of financial stability challenges in repo markets

February 4, 2026-Repo markets are critical to the functioning of the global financial system and have been involved in several recent episodes of stress, including the March 2020 dash for cash and September 2022 gilt market episode.
Report warns that leverage, demand and supply imbalances, and high levels of concentration within repo markets have the potential to create strains.

Report calls on authorities to consider actions to close data gaps, strengthen surveillance, and address vulnerabilities around the build-up of liquidity imbalances and leverage.

The Financial Stability Board (FSB) today published a report on Vulnerabilities in Government Bond-backed Repo Markets.

Repo markets play an important role in facilitating the flow of cash and securities throughout the financial system.

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Source: Financial Stability Board (FSB)


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SEC Filings


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